Sunday, December 4

Tag: s and p 500 index

The Only Correlation Between Bitcoin and the Stock Market is Panic Selling
PR Wire

The Only Correlation Between Bitcoin and the Stock Market is Panic Selling

Bitcoin recently experienced a significant drop in value when over the course of this last week. Its value dropped from a stable $9,000 to $5,000 in a matter of days. At the same time, on the stock market, many companies and indexes also lost value. Most notably, the S&P 500 index, whose loses flipped a stock market circuit breaker, pausing all trading of the asset for 15 minutes. Following the events, many people started producing stories about how BTC is connected to the stock market’s price movements and it’s not this noncorrelated asset that should behave like gold. Well, Bitcoin is neither following the stock market, nor it is gold. What it is, is simple. It’s Bitcoin. The level of utility that Bitcoin has is as limited as money, but the way one owns Bitcoin is...